1. Demand Side Management: Concept, Need and scenario in West Bengal Saroj Sarkar Engineer (Retd.) WBSEDCL 1

2. WHAT IS DEMAND SIDE MANAGEMENT? Demand Side Management is the modification of consumers demand of electricity through various methods such as financial incentives and consumer education Usually the goal of DSM is to encourage the consumers to use less energy during peak hours or to move the time of energy use to the off-peak hours viz. night 2

3. UNDERSTANDING DEMAND AND SUPPLY Q) Who Demands electricity? A) The consumer Q) Who will manage demand for electricity by the consumers? A) The Service provider with equal participation from the Consumer. 3

4. Need for DSM Saving 1 unit of electricity at consumer end avoids nearly 2.5 times of capacity addition 1 MW capacity addition of thermal power requires Rs 6 crores for installation and another Rs 3 crores for Transmission and Distribution 4

5. Need for DSM …..(contd.) Increasing energy requirement Increasing threat of climate change and other environmental considerations Energy security Lack of other supply options Huge scope for energy efficiency measures 5

6. Demand is minimum between 12 a.m. and 6 a.m. Demand is huge between 5:30 p.m. and 9:30 p.m. Peak Demand at 7.30 p.m. Since – Full Lighting load, and other Commercial and Domestic loads 6 Usual Load Curve of an Utility for a 24 Hour period

7. Observations The peak demand of 4,300 MW is there for only 5-6 hours in the evening The base demand is 3,000 MW, which is much less than the peak demand of 4,300 MW To meet the extra demand utility has to arrange additional installed capacity or purchase power at high rate 7

8. Observations …..(contd.) Thus utility will always try to encourage consumers to: – Use less energy during Peak hours (Peak Clipping) – Shift energy use to off peak hours (Valley Filling) 8

9. Therefore consumers too have a very important role to play for achieving the objectives of DSM DSM Utility Consum er 9

10. HOW TO DO DSM? To charge higher prices during Peak Hours Improving the efficiency of various end uses by using energy efficient appliances, better house keeping and reducing energy leakages. This is important for agriculture where energy efficiency is very low (30-50%) Promoting use of Energy Efficient Technologies and addressing Aggregate Technical and Commercial (AT&C) Losses 10

11. Benefits of Demand Side Management Customer BenefitsUtility BenefitsSocietal Benefits Satisfy electricity demands Lower cost of service Reduce environmental degradation Reduce / stabilize costs or electricity bill Improve operating efficiency, Flexibility Conserve resources Maintain/improve lifestyle and productivity Improve customer service Protect global environment 11

12. Present Scenario in West Bengal Major utility Service Provider Peak Load WBSEDCL4,600 MW CESC1,700 MW Type of Consumer Percentage of Electricity usage under WBSEDCL (2011) Domestic30.3% Commercial14.07% Agriculture10.25% Industrial35.93% Others9.36% 12

13. Actions undertaken by WBSEDCL in West Bengal TOD meters for Industrial and Agricultural consumers 173 sodium vapour lamps replaced by LED Energy Audit undertaken in Government buildings and corrective measures are being undertaken Waste Heat Recovery in some industries undertaken Bachat Lamp Yojna 13

14. THANK YOU 14